Star Metro - First Gas-To-Power Data Centre Connection

HIGHLIGHTS

• First two modular data centres (MDCs) operated under the Joint Development Agreement (JDA) with Blackhart Technologies are now being populated with first 589 Bitmain S19J Pro (104T) Antminers used for Bitcoin mining (see images overleaf);

• The first two MDCs are expected to be fully populated with miners over the weekend and connected to Gentech gas fired generators;

• AXP's focus is to deliver performance reliability from gas-to-power generation to ensure uptime of Bitcoin mining operations. Demonstrating this performance reliability provides the catalyst for commencement of similar operations at two more sites and further expansion thereafter;

• The Company will keep shareholders updated on operations under the JDA as well as other ongoing field development activities.

AXP Energy Limited (ASX:AXP)(OTC PINK:AUNXF), ('AXP', 'Company') confirms that the first two modular data centres (MDCs) housing an initial 589 Bitmain S19J Pro Antminers used for Bitcoin mining activities are scheduled for connection this weekend to gas-to-power infrastructure at the Pathfinder #2 well site.

AXP confirms that the Antminers are now being progressively 'racked' in the MDCs and expected to be fully installed this weekend. The Pathfinder #2 site is one of three operations being established under the Joint Development Agreement ('JDA') recently announced with US-based Blackhart Technologies Ltd, ('Blackhart').

As previously stated, AXP's focus is to ensure delivery of reliable and consistent gas supply and power generation to this first bitcoin mining operation under the JDA with Blackhart before commencing the setup of two more sites at the JW Powell and Kelce Court well sites. The Company will keep shareholders updated on the performance these first two operations and progress with respect to development of the next two sites. Expansion beyond the first three sites will be considered based on the performance of the Pathfinder operation and in order to take greater advantage of the 24 producing wells located across the greater Pathfinder lease.

CEO Tim Hart commented: "We are pleased to have reached this milestone with the first site to be connected this weekend. Our efforts are now focused on ensuring reliability of processing for an initial 30 days which provides the catalyst for as major scale up and rapid rollout of more MDCs. The volumes of Pathfinder's stranded gas behind pipe and in untapped formations is extensive, and we are intent on monetising it with downstream offtakers under this JDA."

MDCs On Pathfinder Well Site

Installation Of Miners Within MDC

This announcement has been authorised by the Board of AXP Energy Limited.

FURTHER INFORMATION

Sam Jarvis, Non-Executive Chairman: 0418 165 686
For US-based inquiries please contact Tim Hart Chief Executive Officer: +1 (303) 999-5420
Released through: Ben Jarvis, Six Degrees Investor Relations: 0413 150 448 [email protected]

ABOUT AXP ENERGY LIMITED

AXP ENERGY Limited (ASX: AXP, OTC: AUNXF) is an oil & gas production and development company with core operations in Colorado. AXP is focused on repurposing stranded gas at its 100%-owned Pathfinder Field for power generation and plans to sell this power to data centre operators and owners focused on High Performance Computing (HPC) including AI, rendering and other high processor intensive operations. It has secured its first customer with Blackhart Technologies LLC. AXP has 24 operating oil & gas wells at its Pathfinder Field.

DISCLAIMER

This announcement contains or may contain "forward looking statements" within the meaning of Section 27A of the Securities Act of1933 and Section 21B of the Securities Exchange Act of 1934. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact and may be "forward looking statements." Forward looking statements are based on expectations, estimates and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through the use of words such as "expects", "will," "anticipates," "estimates," "believes," or statements indicating certain actions "may," "could," or "might" occur. Hydrocarbon production rates fluctuate over time due to reservoir pressures, depletion, down time for maintenance and other factors. The Company does not represent that quoted hydrocarbon production rates will continue indefinitely.

SOURCE: AXP Energy Limited

A.Jackson--SMC